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Old 2nd March 2016, 17:48   #61
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I was going to write a long post working out the total taxes on Factory price of a car. But this article has done the research and is comprehensive.

Summary (approx): Maruti Swift :25%

Honda city:39%

Toyota Fortuner: 48%

After budget hikes additional 1%-5%. Additional . 05% service tax.

Taxes on Fuel: approx 50%

So a guy who wishes to buy a Toyota Fortuner @30 lakhs on road will Infact pay 15 lakhs to the government and then 50% of fuel tax throughout ownership.

If he's a tax paying citizen, he has to earn 43 lakhs pretax to make the purchase.

So in that case 28 lakhs paid to the government.








65% of gross salary in taxes.




There may be some inefficiencies in the calculation. Just off the top off my head in a caffeine rush.


http://www.mycarhelpline.com/index.p...=572&Itemid=10

P. S. I've rounded off the calculation to 50% taxes as I've not calculated the taxes on components sourced by the manufacturers and the corporate taxes paid.

Last edited by drsingh : 2nd March 2016 at 17:55.
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Old 3rd March 2016, 07:50   #62
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I would really appreciate it if a member of the forum could work out the total tax component of buying a house on EMI's. The total taxation on the Land, construction, Sales, emi, etc.

Housing and Transportation being the largest component of spending for most people, a clearer picture of the fact that you are working for the government most of the time will communicate better the need for every citizen to be more involved in demanding better infrastructure and services and be more involved in governance.
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Old 3rd March 2016, 23:34   #63
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Default Re: Taxes: How much do we really pay the Government in India?

Quote:
Originally Posted by maddy42 View Post
I totally agree with your statement! I am from coorg with most of the income being Farming. In the last 1-2 years everybody with a bank account has received an IT notice. Its ironical when my neighborhood "Chaiwala" who runs a 10*5 stall and uses firewood as its not economical to use a LPG cylinder so that his tea can still be under Rs 10! When you respond to the first notice, you get a second notice asking you to furnish details of all transactions from 2000-2014. Is this not tax terrorism to say the least. How can a person who is either a farmer, housewife or a pension holder try track his transactions all the way back 10 to 15 years? Its not like we have our own set of lawyers and chartered accountants who can guide us with the loopholes!

Coming to why farmers do not pay taxes. I believe anyone and everyone with a pan card number needs to file their taxes even if they are exempt. This is the only way the govt can get its revenues from all equally. Every trade and business which deals with any buy or sell of an item also needs to do it with a bill. In the farming trade all the folks who buy our product deal only in cash and they hand it to the next dealer who also handles cash. Totally unaccounted for and in case a tax person raids him, all you get is 2 lungis and 2 shirts and a chair and a table.

Also many here have mentioned that you expect return on investment for your taxes, which is true everywhere. In small towns and villages in our country the roi is basically broken down roads, non existent drainage and water, terrible health care facility and Frequent if not unexpected power supply, sometimes for days at a time.

Maddy
Maddy
Hi
Your last sentence is the bitter truth.
I have read quite a lot of views that in India the income taxes are low...but what about every conceivable indirect tax on everything. At the end of the day what you get in return is nothing.
AFAIR the IT department cannot ask for details beyond six years. Are you sure about the notice? Somebody please clarify
Thanks a lot
Regards
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Old 9th March 2016, 11:12   #64
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http://m.firstpost.com/business/im-n...x-2663724.html


Citizen activism saved the day. We need more of it.
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